The Reds have endured a disastrous season, sitting seventh in the Premier League and battling for a place in the Europa League.
Midfield has been their Achilles heel this season, with most players struggling with injuries or suffering a drop in their performances.
With Alex Oxlade-Chamberlain and Naby Keita set to leave upon the expiry of their contracts, the Reds have prioritised bolstering the midfield in the summer transfer window.
Ugarte is the latest name to enter the Reds’ radar. The Uruguayan international has established himself as one of the best young midfielders in Europe following an impressive campaign with Sporting.
One of his best performances of the season came against Arsenal in the Europa League last-16 second leg, with Ugarte inspiring the Portuguese giants to the quarter-finals.
The 22-year-old’s impressive statistics show that he sits in the same league as Europe’s elite midfielders.
Ugarte’s contract expires in 2026, and Sporting have reportedly set a release clause worth £53 million.
It is no surprise that top clubs are after him, with La Liga giants Barcelona being offered the chance to sign Ugarte by his agent Jorge Mendes.
Liverpool also have a great relationship with Mendes after he previously brokered the moves for Darwin Nunez and Diogo Jota.
The Reds are now looking to tap into their ties with the Portuguese superagent for Ugarte.
Reds manager Jurgen Klopp has insisted there will be more investment this summer and particularly stressed the need for more midfielders.
Liverpool have reportedly held talks with Bayern Munich midfielder Ryan Gravenberch, who has struggled for game time this season.
However, Bayern are determined to keep the Dutch midfielder for the foreseeable future, although he needs assurances over his role.
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